The quality of management and the applied business processes determine how far the organization will advance in the modern market for the sale of goods and services. There are many methods to improve the work of the company, which to one degree or another are able to improve the quality of the goods, increase sales, reduce costs, etc.
The following article is devoted to the basic principles of the TQM concept, which is widely used among managers around the world. Below you can find out what TQM is, what the goals and objectives of this concept are, and also get acquainted with a detailed description of its fundamental elements.
TQM: Description and Definition
The term TQM was originally introduced in the 60s to designate the Japanese method of enterprise management. A similar approach was based on the continuous improvement of various components of the company, such as production, organization of activities, procurement of raw materials, sales, etc.
The acronym TQM stands for universal quality management. The principles of such management are key in such a concept, the main of which are as follows:
- Customer focus.
- Involvement of employees in the life of the organization.
- Process approach.
- Unity of the system.
- Strategic and systematic approach.
- Continuous improvement.
- Development of decisions based only on specific facts.
- Communications.
It is important to note that TQM is a specific approach that includes the principles, methods and tools of analysis of all issues in the management of the organization. The goal of TQM is to improve the quality of the organization’s activities, while this concept aims to satisfy the consumer and bring benefits to all interested parties, which are employees, suppliers, management, etc.
After the definition, goals and objectives have been considered, we should separately dwell on each of the basic principles of TQM.
Principle No. 1: customer focus
Any company cannot function normally in the market if it does not have customers (buyers), therefore management should pay due attention to this issue. This TQM principle suggests that the organization and its staff should fulfill customer requirements and try to exceed their expectations.
Customer orientation requires a systematic approach to studying customer needs, which includes the collection of complaints and complaints. Regular analysis of such information will avoid the recurrence of certain errors in the future.
Principle No. 2: Involving Employees in the Organization
When implementing the principles of the TQM concept in an organization, it should be remembered that staff involvement plays a significant role in this process. All employees, from senior staff to low-level employees, should be involved in quality management.
This principle of TQM is based on the fact that the activities and goals of each of the employees are most consistent with the goals of the company. In this case, an important role is played by the encouragement of employees in group work, since work efficiency is significantly increased.
Principle 3: The Process Approach
As you know, a process is a set of specific actions. In the case of production, or rather, in the course of its activities, processes are transformed into a specific result of work. All processes can be implemented only through business functions.
A similar principle of TQM provides for company management, which is divided into two levels:
- management of each process;
- full management of the organization (a group of business processes).
Principle 4: System Unity
Most companies consist of many elements, which are departments, departments, workshops or specific officials. In general, the activity of these elements creates a result that can be a product or service that has value both for the company and for consumers.
In order for this principle of TQM in quality management to be implemented, it is necessary that all the actions of the elements of the company are interconnected and not contradict each other. However, this point requires constant monitoring and education of a general culture of quality among employees so that deviations can be detected in time and the actions directed in the right direction.
Principle 5: Strategic and Systematic Approach
According to experts, such a principle of TQM at the school of management is the most significant, since constant work to improve quality should be part of all strategic plans of the company. Achieving the desired results in this direction is possible only with continuous work, where all actions are systematized.
Principle 6: Continuous Improvement
When implementing the concept of universal quality management, management should continuously evaluate emerging problems, analyze their causes and take a number of necessary actions that should be aimed at correcting and preventing problems. Thanks to this constant work, the organization's work is improved and customer satisfaction is maximized. In this principle, it is important for TQM to remember that it is management that must accompany this process under its strict guidance, which, in turn, will provide a timely response and help achieve goals.
Principle No. 7: making decisions based only on specific facts
Any decision should be reasoned and supported by reliable facts. Sources of data on the basis of which this or that decision is made can be analyzes of complaints, proposals regarding product quality or any other information that is related to the company’s activities.
Particular attention in this principle is paid to the analysis of ideas that come from the organization’s employees, as they see work from the inside and can compare it with environmental conditions. For example, an employee of the procurement department can make a proposal to change the supplier of raw materials, which will help reduce costs, and the manager should consider whether this will entail any production difficulties.
Principle 8: Communications
In the work of any company, communications play a big role. Management should remember that communicating information to staff and receiving feedback from it helps maintain motivation for employees at all levels. In the event of any changes that have occurred or are forthcoming, all participants must be notified in a timely manner so that their activities do not conflict with anything.
TQM implementation
Due to the fact that each company is unique in its own way, there is no general rule for implementing the TQM concept. However, the following main elements of the methodology for implementing universal quality management are distinguished:
- Management should adopt the philosophy of this concept and bring it to all subordinates.
- At the initial stage of implementation, a qualitative analysis of the quality culture should be carried out and the level of satisfaction of its customers should be assessed.
- Management should select the basic principles of TQM and follow them when driving quality improvements.
- Strategic plans should be developed for implementing TQM in the work of the company.
- A list of priority requirements of consumers and a plan for bringing the level of product quality in accordance with these requirements should be drawn up.
- Leaders at all levels should, by personal example, contribute to the implementation of TQM.
- Every day, all necessary business processes aimed at improving quality should be carried out.
- The outcome and progress of TQM implementation should be regularly evaluated according to established plans.
- It is important to constantly inform employees of all levels about all changes and to encourage their initiative to improve quality.
Conclusion
In conclusion, it is worth noting that the introduction of the TQM methodology and following its principles is not always an easy task. However, by exerting efforts, it is possible to improve the quality of products and the work of the organization as a whole, which in turn will have a positive effect on competitiveness and income.